LifeMD price target raised to $18 from $15 on GLP-1 demand at BTIG

Published 18/06/2025, 11:22
LifeMD price target raised to $18 from $15 on GLP-1 demand at BTIG

BTIG raised its price target on LifeMD Inc (NASDAQ:LFMD) to $18 from $15 while maintaining a Buy rating on Wednesday. The increase follows meetings between BTIG and LifeMD’s CEO Justin Schreiber and CFO Marc Benathen, where investor sentiment was described as "generally positive." The company’s stock has shown remarkable momentum, delivering a 162% return over the past six months and currently trading near its 52-week high of $14.20. According to InvestingPro data, the company boasts an impressive gross profit margin of 88%.

The research firm cited robust demand for obesity health services and GLP-1 medications as key factors in its decision. BTIG noted there appears to be "no slow-down in demand for GLP-1 brands or compounded products," and LifeMD expects a significant portion of GLP-1 prescriptions to be branded products in coming months and years. This growth trajectory aligns with the company’s strong revenue growth of 43% in the last twelve months, reaching $234 million.

LifeMD is diversifying across new service lines including Hormone Replacement Therapy, mental health, and women’s health, according to BTIG’s analysis. The company’s customer acquisition costs are reportedly "under control" while its Rex MD brand "continues to grow."

BTIG believes LifeMD’s earnings results may exceed buy-side expectations as demand for both branded and compounded GLP-1s progresses through 2025. The firm expects shares to rally based on this outlook. While the company currently operates with moderate debt levels, InvestingPro analysis suggests the stock is trading above its Fair Value. Investors seeking deeper insights can access the comprehensive Pro Research Report, available exclusively to InvestingPro subscribers, covering this and 1,400+ other US stocks.

LifeMD appears to have established good relationships with major pharmaceutical companies Lilly and Novo Nordisk (NYSE:NVO), BTIG reported. The research firm also noted that LifeMD’s WorkSimpli business division "may (or may not) be sold in the near-term," consistent with previous management statements.

In other recent news, LifeMD, Inc. reported a strong financial performance for the first quarter of 2025, surpassing market expectations with a revenue of $65.7 million, a 49% increase from the previous year. The company also achieved its first positive earnings per share (EPS) of $0.01, significantly above the anticipated -$0.0583. Following these results, LifeMD raised its full-year revenue guidance to between $268 million and $275 million, with an adjusted EBITDA forecast of $31 million to $33 million. In addition, LifeMD launched a $299 weight management bundle, including Wegovy® and a virtual weight loss program, in collaboration with Novo Nordisk. Analyst firms such as Cantor Fitzgerald and BTIG maintained positive ratings on LifeMD, with Cantor reiterating an Overweight rating and a $15 target, and BTIG maintaining a Buy rating with a $12 target. The analysts highlighted LifeMD’s strong customer retention and potential growth in the weight management sector. Furthermore, LifeMD successfully conducted its annual meeting, re-electing seven directors and ratifying its independent auditor for the fiscal year.

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